EOSUSD breaks back above 20-day moving average
EOS/US Dollar Index (EOSUSD) Technical Analysis Report for Nov 10, 2018 | by Techniquant Editorial Team
EOSUSD finished Saturday at 5.43 gaining $0.02 (0.37%). Closing within the previous day's range, prices failed to decisively move beyond the prior day's trading range in a lackluster session.
Daily Candlestick Chart (EOSUSD as at Nov 10, 2018):
Saturday's trading range has been $0.07 (1.29%), that's below the last trading month's daily average range of $0.16. Things look different on the weekly timeframe, where the market's trading range of the last week has been slightly above the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for EOSUSD.
During the whole day, prices traded within the previous day's range, unable to trade above the prior day's high or below the previous day's low forming an Inside Bar. After moving lower in the prior session, EOS/USD managed to close higher but below the previous day's open, forming a bullish Harami Candle. The last time this candlestick pattern showed up on October 28th, EOSUSD actually lost -5.33% on the following trading day.
The cryptocurrency managed to close back above the 20-day moving average at 5.43.
Though EOS is experiencing a short-term uptrend, this might just be a correction, as both the medium and long-term trends are still bearish.
Selling could speed up should prices move below the close-by swing low at 5.37 where further sell stops might get triggered. Further selling could move prices lower should the market test October's nearby low at 5.01.
Among the four market conditions that our pattern recognition engine identified today, the statistics for the OHLC Patterns based market condition "Bullish Harami Candle" stand out. While it is usually interpreted as bullish, it has actually shown to be bearish for EOS/USD. Out of 19 times, EOSUSD closed lower 57.89% of the time on the next trading day after the market condition occurred. The optimal exit for swing trading this condition on the short side has been after five trading days, showing a win rate of 63.16% with an average market move of -1.08%.
With five out of the other six Major Cryptocurrencies closing higher today, the ones that stand out on the positive side are BCHUSD gaining 1.7% and ETHUSD closing 1.26% higher. On the flipside the worst performer has been ETCUSD closing -0.11% lower. Looking at the Minor Cryptocurrencies, the winners of the day have been XEMUSD surging 5.34% and DOGEUSD closing 3.88% higher. The worst performers of the day have been ZECUSD tanking -2.84% and ZECBTC closing -2.72% lower. Read more